BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 86|
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THIRD READING
Bill No: AB 86
Author: Assembly Budget Committee
Amended: 6/13/13 in Senate
Vote: 21
ASSEMBLY FLOOR : Not relevant
SUBJECT : Education Budget Trailer Bill
SOURCE : Author
DIGEST : This bill implements various statutory changes needed
to implement the 2013-14 Budget package for the states public
schools and California Community Colleges (CCC).
ANALYSIS : This bill, as a part of the 2013-14 Budget,
includes the following statutory provisions affecting K-12
education, child care and preschool programs, and CCC:
1. Reduces outstanding inter-year payment deferrals. Retires an
additional $4.3 billion in inter-year K-14 payment deferrals
in 2012-13 and 2013-14. Combined with the $2.2 billion
reduction approved in the 2012-13 Budget Act total
outstanding K-14 deferrals will drop from $10.2 billion in
2011-12 to $6.2 billion in 2013-14.
2. Implementation of Common Core standards. Provides $1.250
billion in one-time Proposition 98 (Prop 98) funding in
2013-14, to assist K-12 local educational agencies in
implementing the new Common Core standards. This investment
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will allow K-12 local education agencies (LEAs), including
school districts, charter schools, county offices of
education, and state special schools, to make significant
one-time investments in professional development,
instructional materials, and enhancements to technology, in
order to better implement Common Core standards. Funding is
available for expenditure by LEAs over a two year period.
3. Career technical education grants . Approves $250 million on
a one-time basis in 2013-14 to establish the California
Career Pathways Trust. The Trust will provide one-time
competitive grants to school districts, county offices of
education, charter schools and CCC to support K-14 education
career pathways programs. Funding is available over a two
year period with priority given to proposals that attract
capital and in-kind contributions from business and serve
distressed communities with high dropout rates.
4. Inglewood Unified School District emergency loan and State
Administrator . Replaces existing statutory authorization of
an emergency apportionment of up to $55 million to the
Inglewood Unified School District through the state
Infrastructure Bank with a traditional General Fund emergency
loan. Clarifies the State Superintendent may appoint a
retired administrator with the powers and responsibilities
set forth in a state takeover.
5. K-12 Mandate Block Grant . Adds two mandates - Science
Graduation Requirements and Pupil Expulsions/Suspensions - to
the K-12 Mandate Block Grant in 2013-14. The Budget Act adds
$50 million to K-12 LEAs with high school student attendance
for the Science Graduation mandate.
6. K-14 mandate suspension . Suspends four education mandates
that have also been suspended for local government. Three of
these mandates apply to K-12 education and CCC: Absentee
Ballots, Brendon Maguire Act and Mandate Reimbursement
Process I and II. One of these mandates, Sex Offenders
Disclosure by Law Enforcement Officers, applies to the CCC
only.
7. Modifies the Behavioral Intervention program mandate .
Modifies the Behavioral Intervention Plan mandate to align it
more closely with federal law and reduce unnecessary costs,
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while maintaining important protections for students with
disabilities.
8. Simplifies special education funding formula . Separates
state and federal funding for special education programs in
the Budget Act and recalculates and updates the statewide
average target rate to reflect this changes.
9. Special education funding equalization . Makes statutory
changes to equalize state special education funding rates for
Special Education Local Planning Areas to the 90th percentile
over a multi-year period beginning in 2013-14.
10. Consolidates special education funding . Provides more
flexibility by combining regionalized services and program
specialists and personnel development grants into the larger
AB 602 funding formula. Relaxes restrictions on funding for
service to students with low-incidence disabilities.
Consolidates two extraordinary cost pool budget items into
one.
11. Special education maintenance of effort (MOE) . Scores Prop
98 funds to satisfy federal MOE requirements for the 2008-09
and 2009-10 fiscal years.
12. Special education backfill . Ensures a General Fund backfill
for state special education funding if actual redevelopment
agency (RDA) revenues are below estimated levels in 2013-14.
13. Emergency Repair Program funding . Extends the suspension of
the Emergency Repair Program in 2013-14 to conform to the
zero funding in the budget.
14. School district sale of surplus property . Extends provisions
of existing law another two years to allow school districts
to use proceeds from selling surplus properties for one-time
operating expenses without forfeiting eligibility to request
more state funds on new construction and modernization
through the School Facilities Program.
15. Charter schools access to surplus district property .
Extends provisions of existing law another three years that
requires school districts to first offer surplus
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instructional property for lease or sale to charter schools
prior to any other entity for three years. Establishes
additional conditions to regulate these transactions.
16. Charter schools program shifts . Shifts administration of two
charters schools programs - the Charter School Revolving Loan
Fund and Charter School Facility Grant Program - from the
California Department of Education (CDE) and to the
California School Finance Authority, in the State Treasurers
Office. Makes other statutory changes to update the payment
schedule for the Charter School Facility Grant Program.
17. Charter schools multi-track attendance accounting . Specifies
the attendance funding for charters that provide flexible
student schedules through the multi-track school calendar.
18. Continuation of grades K-1 English learner assessments .
Extends for two years, the statutory authorization for the
existing early literacy assessment (grades K-1) for English
learners as a part of the California English Learner
Development Test.
19. Updates statutes to reflect Proposition 30 (Prop 30) funds .
Updates multiple funding statutes to reflect funds from the
Education Protection Account pursuant to Prop 30.
20. Emergency Repair Program (ERP) . Suspends funding for the ERP
from the Prop 98 Reversion Account, through 2013-14 to
reflect zero funding in the budget.
21. School meal funding requirements . Repeals two sections of
Education Code related to the use of school cafeteria funds
that conflict with federal law governing school meal programs
authorized by the United States Department of Agriculture.
22. State meal funding adjustments . Specifies state school meal
reimbursement rates in 2013-14 for child nutrition programs
operated by LEAs and child care providers.
23. Quality Education Investment Act (QEIA) program . Provides
that the remaining obligation for the QEIA program will be
paid in 2014-15.
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24. Prop 98 funding split . Suspends the statutory Prop 98
"split" - which specifies the division of Prop 98 funding for
K-12 education and CCC - for the 2013-14 fiscal year.
California Community Colleges
25. Apprenticeship program shift . Requires the CCC Chancellor's
Office (CCCCO) to be responsible for allocating funds to
apprenticeship programs in good standing, and approved by the
Division of Apprenticeship Standards (DAS). By March 15,
2014, requires the CCCCO and the DAS, with equal
participation by school and community college apprenticeship
administrators, to develop various standards and policies
related to apprenticeship programs. Provides that such
standards are operative only upon approval of the California
Apprenticeship Council. Clarifies authority for CCCCO to
directly fund K-12 and CCC that contract with apprenticeship
programs. Specifies priorities for reallocating excess and
unused apprenticeship funds. Specifies that pro rata
reductions, due to insufficient appropriations are to be made
only to hours in excess of the initially allocated number of
hours.
26. Adult education planning grants . This bill defines a new
adult education grant program, authorized in the Budget Act,
that allocates $25 million to the CCCCO for administration
jointly with the CDE. The new grant program provides
two-year planning and implementation grants to regional
consortia of CCC districts and school districts to develop
regional plans to better serve the educational needs of
adults. Specifies that regional consortia may include other
entities providing adult education, including, but not
limited to, correctional facilities, other local public
entities, and community based organizations. Provides that
regional planning efforts are to focus on elementary and
secondary basic skills, including classes required for the
high school diploma or high school equivalency, classes and
courses for immigrants eligible for educational services in
citizenship, English as a second language, and workforce
preparation classes in basic skills, education programs for
adults with disabilities, short-term career technical
education programs with high employment potential, and
programs for apprentices. Requires plans to be submitted by
March 2015 and expresses legislative intent to provide
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additional funding in 2015-16 to the regional consortium to
expand and improve the provision of adult education.
27. Eliminates outdated program . Eliminates the CCC Fund for
Instructional Improvement, an outdated program, and sweeps
the remaining fund balance of $863,000 into the General Fund.
28. Changes mandate block grant participation date . Changes the
date by which CCC districts are required to submit letters to
participate in the mandates block grant from September 30 to
August 30.
29. Property tax backfill related to the dissolution of
Redevelopment Agencies (RDSs) . Allows for a General Fund
backfill for CCC to the extent that expected property tax
revenue from the dissolution of RDAs does not match
anticipated revenues in the current year and budget year.
30. Education Protection Account backfill . Allows for a General
Fund backfill for CCC to the extent that expected tax revenue
from the Education Protection Account, created by Prop 30,
does not match anticipated revenues in the current year and
budget year.
31. CalWORKs priority enrollment . Requires that CCC students who
are CalWORKS recipients to receive priority enrollment
status, allowing these students who have a shortened amount
of time on benefits due to changes made to the CalWORKS
program in 2012, to enroll in classes earlier than other
students.
32. Categorical flexibility . Removes the apprenticeship and
matriculation categorical programs at CCC from flexibility,
which requires districts to spend funding associated with
these programs, directly on these programs.
Child Care and Development
33. Requires annual fee report . Requires CDE to report annually
on fees paid by families with children in state preschool.
34. Clarifies income eligibility for child care programs .
Extends the child care income eligibility limits, used in
2012-13, through 2013-14.
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35. Simplifies child care fees . Requires CDE to convert family
fees charged for state-subsidized child care programs,
including state preschool, from daily to monthly fees, in a
cost-neutral manner.
36. Extends pilot projects . Extends for one year existing
statutory authority that enables San Francisco and San Mateo
counties to retain unspent child care funds and use those
funds to provide subsidized care to families whose incomes
would otherwise be too high to qualify for it.
Commission on Teacher Credentialing
37. Accreditation fees for teacher preparation programs.
Authorizes the Commission on Teacher Credentialing to charge
fees to recover some excess costs of reviewing educator
preparation programs.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: Yes
PQ:k 6/14/13 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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